View our Services

HomeNewsCloud Computing Spending Continues to Rise

Cloud Computing Spending Continues to Rise

Digital First thinks that we are still only on the cusp of seeing a dramatic shift from traditional on-premise data centres to cloud infrastructure, accessible anywhere, anytime and more securely.  The trend continues with over £250bn will be spent on public cloud services in 2016, marking a notable 17.2 per cent rise over 2015.

Data from Gartner found that infrastructure-as-a-service offerings will account for the biggest chunk of the market at 42.8 per cent.

However, software-as-a-service will be the biggest growth area, expected to rise 21.7 per cent on 2015 to over £40bn.

Sid Nag, a research director at Gartner, explained that the growth underlined how many organisations are willing to use public cloud services to host and run digital initiatives, not least to save money.

“Growth of public cloud is supported by the fact that organisations are saving 14 per cent of their budgets as an outcome of public cloud adoption,” he said.

However, Nag noted that many firms have still not moved to the public cloud, despite their willingness, suggesting that there is still plenty of growth in the market for the years ahead.

“There’s no question that there’s s great appetite at organisations to use cloud services, but there are still challenges as they make the move to the cloud,” he said.

“Even with the high rate of predicted growth, a large number of organisations still have no current plans to use cloud services.”

Security and privacy concerns remain the biggest barriers to adoption, despite the best efforts of cloud vendors like Amazon Web Services, Google and Microsoft to allay such fears.

“More education is needed to help organisations overcome the hype associated with security concerns,” added Ed Anderson, a research vice president at Gartner.

“This should be a key area of focus for providers in working with their clients to unlock the benefits of public cloud services.”

The figures from Gartner certainly chime with other data in the market, notably from AWS which is by far the biggest public cloud provider and posted revenues for the division of over £3bn for its most recent quarter.

Microsoft also revealed that the Azure cloud platform is seeing huge demand, with revenues growing 102 per cent in its most recent financial period.

Back to News Index

Digital First were commissioned to work with the Brent Housing Partnership to support its digital transformation, improve the overall customer and staff experience and delivery efficiencies through digitisation.

In developing the digital strategy we:

  • Undertook widespread staff and stakeholder engagement via digital transformation workshops
  • Assessed the options for digitising the customer front end and a wider assessment of the back office systems, data and integration opportunities
  • Developed a commercial business case for investment in a programme of digital transformation.
  • Produced a detailed design and specification of over 100 business processes and the including multiple integrations to create an end to end platform

Key outcomes achieved:

  • A clear technical roadmap for incremental digital transformation to create a new customer digital platform
  • Early rationalisation for the business applications portfolio generating over £200,000 per year in savings
  • Agile development of a new housing portal design to drive self-service and a richer customer experience
  • Production of a business case for change for a Dynamics 365 platform and wider savings of £600k annually – delivering an 18 month digital ROI
Read More
  • Keep Updated:

Latest Blog
View All
Leaders ‘struggling’ with digital transformation ambition
25th, October 2016

Public sector leaders are becoming increasingly frustrated with the slow progress made towards a fully digital government, according to a report. Deloitte’s latest annual The State of the State study, recently, assesses public services...

Read More
Cloud Computing Spending Continues to Rise
16th, September 2016

Digital First thinks that we are still only on the cusp of seeing a dramatic shift from traditional on-premise data centres to cloud infrastructure, accessible anywhere, anytime and more securely.  The trend continues with...

Read More
Microsoft opens UK Azure and Office 365 data centres
9th, September 2016

Microsoft has announced the opening of new data centres in the UK to allow customers to use the firm’s cloud services knowing that the data remains in the country. The new facilities in Cardiff,...

Read More
over a year ago from @DigitalFirstHQ

Obviously.... Give cash to social services and not the NHS, says health chief | News | The Times & The Sunday Times